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Old 01-04-2012, 08:32 PM   #1 (permalink)
 
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EFT for Spray Salons

I'm moving from strictly mobile to a boutique shop and want to create EFT programs. I'm hoping someone has EFT for spray systems to give some feedback on how steep the discounts need to go to sell the program.

Single price is $35

Thinking:

$60 = 2 tans/mo
$100 = 4
$130 = 6

Thoughts?
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Old 01-05-2012, 04:47 PM   #2 (permalink)
 
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Re: EFT for Spray Salons

I have toyed with the idea. I would do a 4 at a set price. You use them that month or lose them.
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Old 01-05-2012, 05:38 PM   #3 (permalink)
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Re: EFT for Spray Salons

What Delany said; 4 tans a month makes the most sense for a monthly draw. I do “unlimited” because it sound like a better value even though we all know they only need one a week. This also eliminates them wondering why the sessions do not roll over since they paid for "sessions" or "sprays".

We charge $59/month with a 1 year contract or $99/month no contract.

At $59/mo. you gross $708 per year for each client signed up. Average across the board is about 2 tans/mo.

Nobody really abuses the "unlimited" because if they spray tan to much they look bad; so pretty much never more than 1 a week, even for the hardcore.

Don’t forget to up-sell retail products like Maximizers & Extenders.
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Old 01-05-2012, 05:52 PM   #4 (permalink)
 
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Re: EFT for Spray Salons

How much are your tans seperatly? $59 seems so low!
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Old 01-05-2012, 06:48 PM   #5 (permalink)
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Re: EFT for Spray Salons

$30; so if the average for tans-per-month on my EFT drafts is 2 tans/mo. then I am making $1 less and I have them locked in for 1 year.

The EFT debate has people on both sides; what those who think that EFT(s) "leave money on the table" are forgetting is that most do not use them that much and it is secured revenue. I have several clients who I do not see for months! One client’s per tan average for 2011 was $80+

Who would not like 114 drafts every month @ $59? That is almost $7,000/mo and then you have your packages, singles and retail on top of that.

You have to pack the day as much as possible. It is all about: Throughput, lean inventory and gross margins. It works for factories, it works for restaurants and it works for tanning salons.
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Old 01-05-2012, 06:50 PM   #6 (permalink)
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Re: EFT for Spray Salons

BTW: $59 a month ONLY on a 1 year contract. $99/mo. for non-contract; we call that, the "non-committal" plan.
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Old 01-05-2012, 07:35 PM   #7 (permalink)
 
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Re: EFT for Spray Salons

do you do an enrollment fee?

I def see the pros and cons. With my expansion, I have been thinking about it more and more.
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Old 01-05-2012, 07:56 PM   #8 (permalink)
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Re: EFT for Spray Salons

I do have an enrollment fee ($99), but waive it every time. I use it as a closing tool. I never really meant to use it; it's just a sales tool.

"I'll tell you what, if you would like to get started today saving money on your spray tans. I will go ahead and waive the "set-up" fee. We can start it either this week or next week... which do you prefer?"
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Old 01-05-2012, 09:03 PM   #9 (permalink)
 
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Re: EFT for Spray Salons

Thank you, I was trying to think of an "unlimited" plan as well but wanted to try it out to see how much people actually would use it. I know from owning a fitness center how great EFT is and that most people simply don't take advantage of everything they are entitled to. I like the simplicity of your plan and being able to sell the unlimited concept knowing that they likely won't use it more than one a week. Thank you!!
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Old 01-11-2012, 09:02 PM   #10 (permalink)
 
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Re: EFT for Spray Salons

I have a quick question. We are new to EFT concept, but we like the idea of continuous revenue. What is your recourse if someone changes their debit card number or closes their account before the end of their year period? How do you collect the rest of their amount due?
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